EVOLVING HR PRACTICES IN A STRATEGIC INTRA-FIRM SUPPLY CHAIN

While there are several studies on human resource management (HRM) at the inter-firm dyadic relationship level, the HR aspects of intra-firm strategic supply relationships have been largely ignored. Yet interdependence requires coordination among functions, sites, and stages of the internal supply chain (SC). Drawing on a case study of a large European pharmaceutical company, which we call Tyrenco, we explore how HR practices evolve within the strategic intra-firm supply relationship. Our findings illustrate the disruptive effects of HR practices when they are focused on site-based objectives and the improved coordination that results from redesigning HR processes to achieve internal operational integration. We highlight the tension between site-based, financial controls and an emergent SC logic. Drawing on recent interest in cooperative approaches to HR practices, this study seeks to operationalize the need to align HR practices with end-to-end objectives at different stages of the intra-firm supply chain. Our findings have practical implications for designing HR practices within multinational corporations (MNCs) that are characterized by complex and fragmented internal environments. (C) 2010 Wiley Periodicals, Inc.